How long-term-care education sets our firm apart

Bob Hoger ​• Novi, MI
Fundamental Wealth Solutions

With medical advances and a constant stream of new treatments, life expectancies continue to rise. As people live longer, the need for support—whether through home health care, assisted living, or a skilled nursing facility—also increases. The great majority of Americans will require some level of costly care at some point in their lives.

While our firm provides holistic financial planning, an important focus within that work is guiding retirees and those nearing retirement through long-term-care planning. The risks and costs associated with long-term care are widely misunderstood and often underappreciated.

This education has been a driver of our firm’s growth in recent years, introducing potential new clients to our practice. We evaluate a range of alternatives to traditional long-term-care insurance, which can be expensive and not terribly efficient. I believe our approach is both innovative and practical. We share it through a robust seminar program and a free printed educational guide.

The seminars and guide are designed to be highly informative, and we consistently receive strong feedback on the material. We focus on five main areas:

1. Understanding the realities of long-term care. We explain the circumstances that may require care and the statistics around who is likely to be affected. Seventy percent of those turning 65 today will need some level of long-term-care support in their lifetime. For couples, there is a 90% probability that one spouse will require long-term care.
2. Recognizing the rising costs. In Michigan, annual skilled nursing facility costs are about $130,000 today and are projected to reach roughly $238,000 by 2045—an 80% increase. Other categories for extended care are expected to see similar increases.
3. Addressing the emotional and financial strain on families. Long-term care can place tremendous stress on loved ones. Many people step into caregiver roles, disrupting their own lives and often struggling to provide the level of care needed.
4. Exploring why self-insuring is rarely effective. Relying on retirement-income assets to pay for long-term care can significantly reduce future retirement income and force major lifestyle changes. It can also create tax and legacy-planning challenges.
5. Reviewing today’s funding options. Beyond traditional individual long-term care policies, retirees can consider various combination products that link life-insurance benefits with long-term-care coverage, offering both financial and legacy advantages.

We are proud to provide this level of education to our community and to our current clients. We offer complimentary consultations to those who attend our seminars or download our guide. In these meetings, we discuss their potential long-term-care needs and their broader financial-planning goals. This has become a valuable way to connect with new prospective clients and support families as they plan for the future.

Disclosure: Long-term care statistics based on information from Genworth, the U.S. Dept. of Health and Human Services, NAIC, and HealthCare, Inc. The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice.

Photography by Hugh Anderson